Brief English Introduction
Zhao and Deng treat legal representative powers as both a governance tool and a source of recurring litigation risk. They distinguish abuse of power from hollowed-out authority, arguing that courts should intervene moderately while preserving the external appearance rules that make company transactions workable.
Use It For
Use this reading to connect nominee representative cases with overreach and litigation misconduct by active representatives.
Teaching Notes
Ask students how courts can protect outsiders without making nominal representatives bear risks they never controlled.